Announcements Corporate Rating Alerts

GCR withdraws Cytonn Investments Management Plc’s ratings

Rating Action

Johannesburg, 20 December 2019 – GCR Ratings (“GCR”) has withdrawn Cytonn Investments Management Plc’s Issuer ratings for analytical reasons. Accordingly, GCR will no longer provide analytical coverage on the Issuer. The long and short-term national scale Issuer ratings of B(KE)/B(KE) respectively could not be reviewed before withdrawal, due to the absence of sufficient information, and were last updated in November 2018.

Rated Entity/Issue Rating class Rating scale Rating Outlook/Watch Date
Cytonn Investments Management Plc Issuer Long Term National WD Dec 2019
Issuer Short Term National WD

Analytical Contacts

Primary analyst Patricia Zvarayi Deputy Sector Head: Corporates
Johannesburg, ZA Patricia@GCRratings.com +27 11 784 1771
Committee chair Eyal Shevel <matthewp@gcrratings.com> Sector Head: Corporates
Johannesburg, ZA Shevel@GCRratings.com +27 11 784 1771

Related Criteria and Research

Criteria for the GCR Ratings Framework, May 2019
Criteria for Rating Corporate Companies, May 2019
GCR Ratings Scale, Symbols & Definitions, May 2019
GCR Country Risk Scores, June 2019
GCR’s Kenya Corporate Sector Risk Scores, September 2019

Ratings History

Cytonn Investments Management Plc

Rating class Review Rating scale Rating Outlook/Watch Date
Issuer Long Term Initial National BB(KE) Stable Sep 2017
Issuer Short Term National B(KE)
Commercial paper National B(KE)
Issuer Long Term Last National B(KE) Evolving Nov 2018
Issuer Short Term National B(KE)
Commercial paper* National WD

*The commercial paper ratings were withdrawn in November 2018, as there was no paper in issue.

Glossary

Commercial Paper Commercial paper is a negotiable instrument with a maturity of less than one year.
Coverage The scope of the protection provided under a contract of insurance.
Issuer Ratings See GCR Rating Scales, Symbols and Definitions.
Issuer The party indebted or the person making repayments for its borrowings.
Rating Outlook See GCR Rating Scales, Symbols and Definitions.
Rating Withdrawal See GCR Rating Scales, Symbols and Definitions.
Risk The chance of future uncertainty (i.e. deviation from expected earnings or an expected outcome) that will have an impact on objectives.
Short Term Current; ordinarily less than one year.

Salient Points of Accorded Ratings

GCR affirms that a.) no part of the ratings was influenced by any other business activities of the credit rating agency; b.) the ratings were based solely on the merits of the rated entity, security or financial instrument being rated; and c.) such ratings were an independent evaluation of the risks and merits of the rated entity, security or financial instrument.

The credit rating outcome has been disclosed to the Issuer. The ratings were solicited by, or on behalf of, the Issuer, and therefore, GCR has been compensated for the provision of the ratings.

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